US spot polymer-grade propylene (PGP) prices hit an eight-month high on Wednesday, market sources told SSESSMENTS.COM. Spot PGP prices increased by 2 cents/pound on the day to 32 cents/pound on July 8, the highest since November 7, 2019. The assessment is also higher than the year-to-date peak of 31.75 cents/pound on January 7.
The prices have also recovered from the 11-year low of 18.625 cents/pound on March 23, 2020, amid demand destruction due to the coronavirus pandemic. Market participants said the planned shutdown of Dow's propane dehydrogenation plant contributed to the recent increase. The shutdown began on July 8 and is expected to last for 45 days.
